Question: Calculation of EPS and retained earnings Ever…
Calculation of EPS and retained earnings Everdeen
Mining, Inc., ended 2015 with net profits before taxes of $427,000.
The company is subject to a 40% tax rate and must pay $65,500
In preferred stock dividends before distributing any earnings on the 172,000 shares of common stock currently outstanding.
- Calculate Everdeen’s 2015 earnings per share(EPS).
- If the firm paid common stock dividends of $0.75
Pershare, how many dollars would go to retainedearnings?
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